NetEase market cap is $72.7 b, and annual revenue was ¥59.24 b in FY 2019

NetEase Gross profit (Q3, 2020)9.9 B

NetEase Gross profit margin (Q3, 2020), %53%

NetEase Net income (Q3, 2020)2.8 B

NetEase EBIT (Q3, 2020)2.9 B

NetEase Cash, 30-Sept-20206.5 B

NetEase EV88.5 B

NetEase revenue was ¥59.24 b in FY, 2019 which is a 11.8% year over year decrease from the previous period.

NetEase revenue breakdown by business segment: 19.4% from Innovative Businesses and Others, 78.4% from Online Games Services and 2.2% from Other

CNY | FY, 2017 | FY, 2018 | FY, 2019 |
---|---|---|---|

## Revenue | 54.1b | 67.2b | 59.2b |

| 24% | (12%) | |

## Cost of goods sold | 28.2b | 38.8b | 27.7b |

## Gross profit | 25.9b | 28.4b | 31.6b |

| 48% | 42% | 53% |

## Sales and marketing expense | 7.0b | 9.5b | 6.2b |

## R&D expense | 4.4b | 7.8b | 8.4b |

## General and administrative expense | 2.4b | 3.2b | 3.1b |

## Operating expense total | 13.8b | 20.5b | 17.8b |

## EBIT | 12.2b | 7.9b | 13.8b |

| 22% | 12% | 23% |

## Interest income | 667.3m | 587.5m | 821.8m |

## Investment income | 362.1m | 1.3b | |

## Pre tax profit | 13.0b | 8.9b | 16.4b |

## Income tax expense | 2.2b | 2.5b | 2.9b |

## Net Income | 10.8b | 6.5b | 21.4b |

## EPS | 3.2 | 1.9 | 6.5 |

CNY | Q1, 2018 | Q2, 2018 | Q3, 2018 | Q1, 2019 | Q2, 2019 | Q3, 2019 | Q1, 2020 | Q2, 2020 | Q3, 2020 |
---|---|---|---|---|---|---|---|---|---|

## Revenue | 14.2b | 16.3b | 16.9b | 14.4b | 14.4b | 14.6b | 17.1b | 18.2b | 18.7b |

## Cost of goods sold | 8.2b | 9.0b | 9.3b | 6.7b | 6.7b | 6.8b | 7.7b | 8.4b | 8.8b |

## Gross profit | 6.0b | 7.2b | 7.5b | 7.7b | 7.7b | 7.9b | 9.4b | 9.8b | 9.9b |

| 42% | 44% | 45% | 54% | 54% | 54% | 55% | 54% | 53% |

## Sales and marketing expense | 2.5b | 2.3b | 2.4b | 1.2b | 1.3b | 1.6b | 1.9b | 2.3b | 3.4b |

## R&D expense | 1.5b | 1.9b | 2.3b | 2.0b | 1.9b | 2.2b | 2.1b | 2.4b | 2.8b |

## General and administrative expense | 796.8m | 720.9m | 822.3m | 786.9m | 776.9m | 753.8m | 885.4m | 892.6m | 783.8m |

## Operating expense total | 4.7b | 4.9b | 5.4b | 4.0b | 4.0b | 4.5b | 4.9b | 5.6b | 7.0b |

## EBIT | 1.2b | 2.3b | 2.1b | 3.8b | 3.7b | 3.3b | 4.5b | 4.2b | 2.9b |

| 9% | 14% | 13% | 26% | 26% | 23% | 26% | 23% | 15% |

## Interest income | 165.5m | 141.6m | 113.1m | 172.2m | 185.2m | 1.8b | 345.2m | 396.5m | 446.9m |

## Investment income | 80.8m | 155.8m | 24.1m | 394.9m | 711.2m | 1.3b | |||

## Pre tax profit | 1.1b | 2.7b | 2.5b | 4.1b | 4.1b | 4.2b | 5.0b | 5.7b | 3.1b |

## Income tax expense | 282.7m | 420.5m | 843.8m | 1.3b | 683.8m | 88.0m | 1.1b | 1.1b | 342.7m |

## Net Income | 804.8m | 2.3b | 1.6b | 2.5b | 3.1b | 12.8b | 4.0b | 4.7b | 2.8b |

## EPS | 0.2 | 0.7 | 0.5 | 0.7 | 1.0 | 3.9 | 1.1 | 1.4 | 0.9 |

CNY | FY, 2017 | FY, 2018 | FY, 2019 |
---|---|---|---|

## Cash | 2.8b | 5.4b | 3.2b |

## Accounts Receivable | 3.6b | 4.3b | 4.2b |

## Prepaid Expenses | 3.8b | 4.6b | 4.8b |

## Inventories | 5.5b | 5.0b | 650.6m |

## Current Assets | 61.9b | 68.7b | 85.1b |

## PP&E | 3.8b | 5.4b | 4.6b |

## Total Assets | 71.0b | 87.0b | 112.2b |

## Accounts Payable | 2.4b | 2.4b | 1.2b |

## Short-term debt | 6.6b | 13.7b | 17.0b |

## Current Liabilities | 23.8b | 35.1b | 38.2b |

## Long-term debt | 279.9m | ||

## Non-Current Liabilities | 231.5m | 447.3m | 839.9m |

## Total Debt | 6.6b | 13.7b | 17.3b |

## Total Liabilities | 24.0b | 35.6b | 39.1b |

## Common Stock | 2.7m | 2.6m | 2.6m |

## Additional Paid-in Capital | 1.8b | 3.9b | |

## Retained Earnings | 42.7b | 44.0b | 56.4b |

## Total Equity | 46.4b | 46.0b | 62.6b |

## Debt to Equity Ratio | 0.1 x | 0.3 x | 0.3 x |

## Debt to Assets Ratio | 0.1 x | 0.2 x | 0.2 x |

## Financial Leverage | 1.5 x | 1.9 x | 1.8 x |

CNY | FY, 2017 | FY, 2018 | FY, 2019 |
---|---|---|---|

## Net Income | 10.8b | 6.5b | 21.4b |

## Depreciation and Amortization | 801.8m | 2.1b | 2.6b |

## Accounts Receivable | 565.2m | (710.9m) | (11.3m) |

## Inventories | (3.9b) | 457.1m | 415.1m |

## Accounts Payable | 1.1b | (85.2m) | 13.2m |

## Cash From Operating Activities | 11.9b | 13.4b | 16.9b |

## Purchases of PP&E | (1.8b) | (2.5b) | (1.2b) |

## Cash From Investing Activities | (13.2b) | (13.6b) | (22.1b) |

## Short-term Borrowings | (58.2b) | 6.2b | 2.2b |

## Dividends Paid | (3.3b) | (1.4b) | (8.8b) |

## Cash From Financing Activities | (1.3b) | 1.6b | 1.1b |

## Net Change in Cash | (2.7b) | 1.5b | (3.8b) |

## Interest Paid | 301.8m | 431.4m | |

## Income Taxes Paid | 2.7b | 2.0b | 3.2b |

CNY | FY, 2017 |
---|---|

## EV/EBIT | 4 x |

## EV/CFO | 4.1 x |

## Revenue/Employee | 3.0m |

## Debt/Equity | 0.1 x |

## Debt/Assets | 0.1 x |

## Financial Leverage | 1.5 x |

## P/E Ratio | 106.7 |

FY, 2015 | FY, 2016 | Q1, 2017 | Q3, 2017 | FY, 2017 | Q1, 2018 | FY, 2018 | FY, 2019 | |
---|---|---|---|---|---|---|---|---|

## Active Users, ABA Game | 10 m | |||||||

## Advertising Professionals | 414 | 486 | 522 | 659 | ||||

## Brands (E-commerce) | 2.70 k | 4.30 k | ||||||

## Call Center Personnel | 1.80 k | 1.80 k | 1.70 k | 1.70 k | ||||

## Co-located Servers | 39 k | 50 k | 77 k | 106 k | 106 k | |||

## Corporate E-mail Users | 450 k | 450 k | 650 k | |||||

## Countries (E-commerce) | 40 | 50 | ||||||

## Downloads (Onmyoji) | 200 m | |||||||

## Downloads (Youdao Dictionary) | 596 m | 691 m | 730 m | |||||

## E-mail Registered Users | 840 m | 910 m | 980 m | 1.03 b | 1 b | |||

## Games | 80 | 100 | 100 | 100 | 140 | |||

## Monthly Active Users (Youdao Dictionary) | 51.90 m | |||||||

## Monthly Active Users (Youdao) | 100 m | |||||||

## Personnel Provided (Blizzard) | 568 | 546 | 500 | |||||

## Programmers Network | 4.60 k | 5.90 k | 7 k | 10 k | ||||

## Regist Users (Minecraft) | 30 m | 60 m | ||||||

## Registered Users (NetEase Cloud Music) | 800 m | |||||||

## Smart Devices Distributed | 459.18 k | |||||||

## VIP E-mail Active Users | 433 k | 433 k | 470 k |

FY, 2019 | |
---|---|

Male (Board) | 5.6 % |

Male (Management), percent | 70.1 % |

Female (Management), percent | 23.4 % |

Other | 0.9 % |

- Source: netease.gcs-web.com